1 Journal entry on July 1, 20Y1: Dr. Cr. July 1, 20Y1 Cash 31,000,000 Bonds Payable 30,000,000...
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| 1 | ||||||||||
| Journal entry on July 1, 20Y1: | ||||||||||
| Dr. | Cr. | |||||||||
| July 1, 20Y1 | Cash | 31,000,000 | ||||||||
| Bonds Payable | 30,000,000 | |||||||||
| Premium on Bonds Payable | 1,000,000 | |||||||||
| 2 | ||||||||||
| Journal entry on December 31, 20Y1: | ||||||||||
| Dec 31, 20Y1 | Dr. | Cr. | ||||||||
| Interest Expense | 1,395,000 | |||||||||
| Premium on Bonds Payable | 105,000 | |||||||||
| Cash | 1,500,000 | |||||||||
| 3 | ||||||||||
| Journal entry on June 30, 20Y2 | ||||||||||
| Dr. | Cr. | |||||||||
| June 30, 20Y2 | Interest Expense | 1,390,275 | ||||||||
| Premium on Bonds Payable | 109,725 | |||||||||
| Cash | 1,500,000 | |||||||||
| 4 | ||||||||||
| Total Interest Expense 20Y1 | 1,390,275 | |||||||||
| 5 | ||||||||||
| Interest payment | 1,429,024 | |||||||||
| Premium Discount amortization | 70,976 | |||||||||
| Balance after 4th payment | 1,685,102 | |||||||||
| 6 | ||||||||||
| Period end | Coupon Payment | Interest Expense | Amortization of Premium /(Discount) | Premium Balance | Bonds Payable | Book Value of Bonds | ||||
| July12021 | $1,951,190 | $30,000,000 | $31,951,190 | |||||||
| 31-Dec-21 | $1,437,804 | $1,888,994 | $30,000,000 | $31,888,994 | ||||||
| 30-Jun-22 | $1,435,005 | $1,823,999 | $30,000,000 | $31,823,999 | ||||||
| 31-Dec-22 | $1,432,080 | $1,756,079 | $30,000,000 | $31,756,079 | ||||||
| 30-Jun-23 | $1,429,024 | $1,685,102 | $30,000,000 | $31,685,102 | ||||||
| 31-Dec-23 | $1,425,830 | $1,610,932 | $30,000,000 | $31,610,932 | ||||||
| 30-Jun-24 | $1,422,492 | $1,533,424 | $30,000,000 | $31,533,424 | ||||||
| 31-Dec-24 | $1,419,004 | $1,452,428 | $30,000,000 | $31,452,428 | ||||||
| 30-Jun-25 | $1,415,359 | $1,367,787 | $30,000,000 | $31,367,787 | ||||||
| 31-Dec-25 | $1,411,550 | $1,279,228 | $30,000,000 | $31,279,338 | ||||||
| 30-Jun-26 | $1,407,570 | $1,186,908 | $30,000,000 | $31,186,908 | ||||||
| 31-Dec-26 | $1,403,411 | $1,090,319 | $30,000,000 | $31,090,319 | ||||||
| 30-Jun-27 | $1,399,064 | $989,383 | $30,000,000 | $30,989,383 | ||||||
| 31-Dec-27 | $1,394,522 | $883,905 | $30,000,000 | $30,883,905 | ||||||
| 30-Jun-28 | $1,389,776 | $773,681 | $30,000,000 | $30,773,681 | ||||||
| 31-Dec-28 | $1,384,816 | $658,497 | $30,000,000 | $30,658,129 | ||||||
| 30-Jun-29 | $1,379,632 | $538,129 | $30,000,000 | 30,538,129 | ||||||
| 31-Dec-29 | $1,374,216 | $412,345 | $30,000,000 | $30,412,345 | ||||||
| 30-Jun-30 | $1,368,556 | $280,900 | $30,000,000 | $30,280,900 | ||||||
| 31-Dec-30 | $1,362,641 | $143,541 | $30,000,000 | $30,143,541 | ||||||
| 30-Jun-31 | $1,356,459 | $0 | $30,000,000 | $30,000,000 | ||||||
| Total | $30,000,000 | $28,048,810 | ||||||||
What is the book value (net carrying value) of the bonds on June 30, 20Y6? Enter numbers with no dollar sign or commas. Round to the nearest dollar.
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